Charity marketers have been warned to take a “softly, softly” approach to the new data protection rules which came into force late last week, and are designed to allow third-sector organisations to boost their use of electronic marketing when engaging with supporters.
The changes, which fall under the Data (Use & Access) Act, enable charities to use a new “soft opt-in”, meaning they can send direct marketing emails and texts to people who have expressed interest in or offered to support a charity without needing their prior consent for marketing, provided they meet the necessary requirements.
The move, which it is claimed could benefit charities to the tune of £290m a year, is designed to bring third sector organisations into line with general businesses and provide more opportunities to stay in touch with supporters, helping them raise vital funds.
However, with Information Commissioner’s Office yet to publish guidance on how the new rules will work in practice, charities are in danger of falling into a legal “black hole” with both regulators and industry sector bodies urging caution.
The ICO is still considering responses to the consultation, which ran from October 16 until November 27, although the DMA has confirmed it recently held a “constructive and productive” meeting with the regulator.
According to the DMA, one central theme raised by members, and reflected in the meeting, was that the scale and diversity of modern fundraising activity is often not fully understood outside the sector. Fundraising today encompasses far more than direct donation appeals, spanning charity retail, lotteries, raffles, memberships, events, campaigns and digital engagement journeys that operate across charitable entities and trading subsidiaries.
The DMA said: “As the ICO recognised, understanding how these models operate in practice is essential to producing guidance that is clear, proportionate and workable.”
Meanwhile, the Chartered Institute of Fundraising director of policy and communications Claire Stanley said: “While there are questions around the guidance – particularly around third party collection of donor details – I would urge caution in using soft opt-in immediately.
“The CIF will work closely with the Fundraising Regulator to develop sector-specific guidance as soon as we have clarity on the ICO’s guidance.”
The Fundraising Regulator has urged similar caution in a statement on its website, which reads: “Until the ICO publishes its guidance, it is uncertain how soft opt-in will apply in practice to charities, particularly in more complex situations. We strongly advise charities to approach the use of soft opt-in now with caution until ICO guidance is available.
“This is to avoid inadvertently using the provision unlawfully and being in breach of the Code of Fundraising Practice.”
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